The hotelier also believes its beachfront serviced apartment — Impiana Resort & Residences Cherating will have a good take up rate by end of this year. It believes Cherating will become a world class destination for local and international tourists, banking on the East Coast Rail Link (ECRL) project and more flights landing at the in Kuantan airport.

Under the deal, SMAP will lease back the 146 units to IHB for five years, subject to an automatic extension of five years, with option to extend the lease mutually by both parties for another five-year. IHB also signed another agreement to allow SMAP to manage and maintain the 146 units.

IHB executive director Azrin Kamaluddin said: “We hope to do our part in elevating Cherating to become a world class tourist destination and SMAP’s purchase validates investors’ confidence in our resort."

SMAP director Alfonso Chu said: “With the development located in such a prime location and Impiana’s 25 years of success as an international hotelier, we are optimistic this is a winning choice and sound investment."